1. Which line item would be found on a service firm's income statement and not on a merchandiser's?

a) Inventory

B) Cost of Goods Sold

c) Depreciation Expense

D) Service Revenue

2. Inventory reports the:

a) cost of goods available for sale

B) cost of merchandise purchased

C) cost of goods that have been delivered to customers

D) selling price times the quantity of goods sold

3. Sales Revenue reports the:

a) cost of merchandise available to sell

B) cost of merchandise purchased

C) cost times the quantity of goods sold

D) selling price times the quantity of goods sold

4. Cost of goods sold reports the:

a) cost of merchandise available to sell

B) cost of merchandise purchased

C) cost times the quantity of goods sold

D) selling price times the quantity of goods sold